Labour Market and Fiscal Policy Adjustments to Shocks

Showcases the implications of the national minimum wage on the price stability mandate by bringing the South African labour market structure into the discussion Deals with diverse indicators of the labor market developments by constructing labour market conditions indices Discusses the role of labour market conditions channel and tests whether labour market conditions matter for credit dynamics Introduces the role of fiscal policy within price stability Explores the potency of the output channel of borrowing costs and sovereign debt changes

Nombulelo Gumata is a part-time lecturer at the Centre for Education in Economics and Finance Africa. She is the co-author of Global Growth and Financial Spill-Overs and South African Economy and Bank Credit Extension and Real Economic Activity in South Africa: The Impact of Capital Flow Dynamics, Bank Regulation and Selected Macroprudential Tools. Eliphas Ndou is an economist at the South African Reserve Bank and a lecturer at the University of the Witwatersrand, Johannesburg, South Africa. He is the co-author of Inflation Dynamics in South Africa: The Role of Thresholds, Exchange-rate Pass Through and Inflation Expectations on Policy Trade-offs and Monetary Policy and the Economy in South Africa.